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AMO Insight 'Achievements of the Kishida Administration and Issues to be Addressed by the Next Prime Minister'

3rd September 2024

Prime Minister Kishida will step down at the end of his term. He deserves a certain amount of credit for overcoming deflation with the highest wage increase rate in 33 years, capital investment exceeding 100 trillion yen, record high recurring profits, and nominal GDP reaching 600 trillion yen. The effects of policies such as wage increases in the public sector, the establishment of a proper price pass-on environment for small and medium-sized enterprises, and the expansion of minimum wage hikes were not small.

The period up to 2030 is the last chance to make changes to the economic structure as the end of this era is when the decline in the working age population is expected to accelerate. The initiatives to do so have been left to the next prime minister. While support measures for high prices may be justified for the time being in order to completely exit from deflation, attention will be focused on social security reform in response to a society with a declining population and energy plan. 

 

Full article: pdf AMO Insight 'Achievements of the Kishida Administration and Issues to be Addressed by the Next Prime Minister'

Written by Yuko Iizuka, Economist, Asset Management One Co., Ltd

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